The Policy Monitoring and Research Center (PMRC) has encouraged youths to show responsibility by utilizing funding resources based on their business plans.
The centre says this will yield better outcomes for repayment and subsequent benefit for other youths because these loan facilities are designed to work as revolving funds.
PMRC Executive Director Bernadette Deka says non-payment of loans by youths presents a challenge for growing the base of young entrepreneurs.
Ms Deka says the government should align its strategies to increase incubation support to businesses to create a generation of innovative entrepreneurs with unlimited potential to grow.
Ms Deka has also recommended that the government should strengthen Labour Regulations and Skills Development Programmes by focusing on policies to improve the quality of labour supply.
The centre says this will achieve better market matches between the available stock of labour force and the demands of industry.
Ms Deka says this should include but not limited to skills training, education, expansion of education access with quality, especially for low-income households.
She says Zambia’s Industry use of foreign skilled workers demonstrates further evidence of the shortage of well-trained nationals in some fields and provides an opportunity re-double efforts to increase education coverage and quality.
Ms Deka has further observed the need to shift university programmes towards producing professionals who can meet the needs of industry.
“Improve quality and Technical and Vocational Education and Training Programmes by focusing on generating on young entrepreneurs that are relevant to the times and industry needs. This should be focused on support to upskilling and skill training to support economic diversification into agribusiness, tourism and construction which provide opportunities for large numbers of young people to engage in non-farm work in both rural and urban areas,” she said.
“Design labour regulation to support the growth of formal and informal jobs by easing the cost of compliance and encouraging the expansion of small businesses run by the youth.”